Main results
Firm-to-firm trade I
- The distribution of firm size within an industry shows substantial dispersion.
- Domestic production networks are sparse.
- Firm size is positively correlated to the number of connections to other firms and their average transaction.
- Firm size is positively correlated to the number of municipalities and number of industries with which a firm trades.
- Both the extensive and intensive margins significantly explain the variation of networks sales and purchases. As we aggregate from the firm- to the industry-level, the intensive margin becomes more important.